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HomeMy WebLinkAbout06 J.W. AIRPORT LEASE 10-19-98AGENDA,s, NO. 6 ?10~19_98 / DATE: OCTOBER 19, 1998 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: PUBLIC WORKS DEPARTMENT/WATERSERVICES DIVISION SUBdECT: RENEWAL OF JOHN WAYNE AIRPORT OUTER MARKER LEASE WITH COUNTY OF ORANGE SUMMARY ThiS action is the :renewal of an existing leaSe for the use of 400 square feet at the ;City's iFooth/ll ReServoir site. RECOMMENDATION It is recommended that the City Council authorize the Mayor and City Clerk, pending final City Attorney approval, to execute the attached lease with the County of Orange for the use of 400 square feet at the Foothill Reservoir site. FISCAL IMPACT The agreement produces revenue to the City of $2500 per year, With an escalation clause based upon the Consumer Price Index. BACKGROUND The attached lease is a renewal of an existing lease that was originally executed in 1978 by the Tustin Water Works and the County of Orange. The lease provides space for an electronic beacon that is part of the instrument landing system for John Wayne Airport. The equipment is housed in a small fiberglass enclosure that is further enclosed by security fencing. The equipment is maintained by the Federal Aviation Administration (FAA). The activities of the County/FAA have been passive and have not interfered with the Water Division's operation of the reservoir. The Water Division is currently planning a major repair to the Foothill Reservoir roof and retaining walls. It is not known at this time whether the FAA equipment Will interfere with the repairs. Consequently, a new clause has been added to the lease that will require the County to temporarily or permanently relocate the equipment upon 90 days notice from the City. The lease also contains a termination clause, which allows either party to terminate the lease upon 90 days notice, after the lease has been in effect for one year. Tim D. Serlet Director of Public Works/City Engineer Gary R. Veeh Water Services Manager TDS:GRV:ccg:Outer Marker Lease with OC Attachment 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 26 27 28 GA 1121-120 John Wayne Airport (FAA Outer Marker) LEASE Ground Lease-.City of Tustin TABLE OF CONTENTS CLAUSE PAGE NUMBER . 2. 3. 4. 5. 6. 7. 8. 9. DEFINITIONS (MA2-1S) .................................................................................................... 1 LEASED PREMISES (MA3-1S) ......................................................................................... 1 TERMINATION OF PRIOR AGREEMENTS (MA4-1S) ...................................................... 1 ! · ........... 1 USE (MBI-lS) ....... .. ........ ~. ........................................................................................ TERM (MB2-1 S) ' 2 -,. RENT (MC2-1 N) ................................................................................................................. 2 REVISION OF RENT (MC5-1N) ......................................................................................... 2 RELOCATION OF PREMISES (N) ..................................................................................... 3 LESSOR'S ENTRY ON PREMISES (N) ................................................................... ' .......... 3 10.RESTRICTIONS (N) ........................................................................................................... 4 11.TAXES AND ASSESSMENTS (MG10-1S) ......................................................................... 4 12.LIABILITY (N) ................................................... 13.PERMITS AND LICENSES (MG3-1S) ................................................................................ 4 14.TERMINATION OF LEASE (N) .......................................................................................... 15.HOLDING OVER (MG17-1S) ............................................................................................. 5 16.DEFAULTS AND REMEDIES (N) ........................................................................................ 17.OWNERSHIP OF IMPROVEMENTS (MD6-1N) ................................................................. 18.UTILITIES (ME3-1S) .......................................................................................................... 19.LEASE ORGANIZATION (MG5-1S) .................................................................................... 20.AMENDMENTS (MG6-1S) ....................................... ' ........ - ........................................ · 21..INSPECTION (MG8-1S) .................................................................................. 22. SUCCESSORS IN INTEREST (MG11-1S) ......................................................................... 23. CIRCUMSTANCES WHICH EXCUSE PERFORMANCE (MG12-1N) ................................ S\CONTRACT~TU STIN OM 09/0S!98 GA 1121-120 John Wayne Airport (FAA Outer Marker) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 26 27 28 LEASE Ground Lease - City of Tustin TABLE OF CONTENTS (continued) CLAUSE PAGE NUMBER 24. PARTIAL INVALIDITY (MG13-1S) ..................................................................................... 6 25. DAMAGE TO OR DESTRUCTION OF IMPROVEMENTS (ME4-2N) ................................6 26. WAIVER OF RIGHTS (MG14-1N) ...................................................................................... 27. NOTICES (MF20-1S) ....( .................................................................................................... 28. ATTACHMENTS TO LEASE (MF21-1N) ............................................................................ S\CONTRACT~TUSTIN OM 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 2O 21 22 GA 1121-120 John Wayne Airport (FAA Outer Marker) LEASE Ground Lease - City of Tustin THIS LEASE is made ~ 1998 by and between the COUNTY OF ORANGE, hereinafter referred to as "TENANT", and the CITY OF TUSTIN hereinafter referred to as "LESSOR", without regard to gender or number. 1. DEFINITIONS (MA2-1S) The following words in this Lease have the significance attaChed to them in this clause unless otherwise apparent from context: "Airport" means John Wayne Airport, Orange County, California. "Airport Director" means the Director of John Wayne Airport, County of Orange, or Director's designee, or upon written notice to LESSOR, such other person or entity as shall be designated by the Board of Supervisors. "COUNTY" means the County of Orange, a political subdivision of the State of California. 2. LEASED PREMISES (MA3-1S) LESSOR leases to TENANT that certain property hereinafter referred to as "Leased Premises", described in "Exhibit A" and shown on "Exhibits B and C", which exhibits are attached hereto and by reference made a part hereof. ' 3. TERMINATION OF PRIOR AGREEMENTS (MA4-1S) 23 It is mutually agreed that this Lease shall terminate and supersede any prior leases or 24 agreements between the parties hereto covering all or any portion of the Leased Premises. 25 4. USE (MBI-IS) 26 TENANT's use of the Leased Premises shall be limited to the installation, operation and maintenance of an air traffic control navigational facility known as the John Wayne Airport 27 Runway 19R Outer Marker. Said navigational facility shall be maintained and operated by the Department of Transportation, Federal Aviation Administration, subject to the terms and 28 conditions of this Lease. 611 7/?3 .1 2 3 4 5 6 7 8 9 10 GA 1121-120 John Wayne Airport (FAA Outer Marker) A. Together with a right-of-way for ingress and egress from the Leased Premises and right-of-way for extending electric power and/or telecommunication lines to the Leased Premises, such rights-of-way to be in locations acceptable to LESSOR; B. And the right to remove all above-ground obstructions from the Leased Premises which may constitute a hindrance to the establishment and maintenance of said navigational facilities; C. And the right to make alterations, attach fixtures and erect additions, structUres or signs in or upon the Leased Premises, which alterations, fixtures, additions, structures or signs so placed in or upon, .or attached to the Leased Premises shall be and remain the property of TENANT, and, shall be removed by TENANT upon the date of expiration or termination of this Lease,'or within ninety (90) days thereafter. I 5. TERM (MB2-1S) ~ , term of this Lease shall i~e twenty.(20) years, commencing the first day of the first full calendar month following the date of s~gning of this Lease by TENANT. 11 12 13 14 15 16 17 18 19 20 21 22 6. RENT (MC2-1N) TENANT agrees to pay as rent for the Leased Premises the sum of Two Thousand Five Hundred Dollars ($2,500) per year, payable annually in advance on the anniversary date of this Lease so long as tenancy continues. in the event the obligation to pay rent begins or terminates on some day other than the first or last day of the month, the rent shall be prorated to reflect the actual period of use on the basis of a thirty (30) day month. The rent for any partial calendar month during which this Lease becomes effective will be payable on such effective date. 7. REVISION OF RENT (MC5-1N) rent specified in the clause in this Lease entitled "RENT" shall be subject to automatic annual adjustments in proportion to changes in the Consumer Price Index for Los Angeles - Anaheim - Riverside (All Urban Consumers - All Items) promulgated by the Bureau of Labor Statistics of the U. S. Department of Labor. The automatic adjustment shall be effective on each anniversary of the effective date of this Lease and shall be calculated by means of the following formula: X = $2,500 x A B 23 24 25 26 27 28 X= Adjusted Rent A = Monthly index for the fourth month prior to the month in which each rental rate adjustment is to become effective B = Monthly index for the month in which this Lease becomes effective in the event that the Consumer Price Index (CPI) ceases to use 1982-84 = 100 as the basis of calculation or if a substantial change is made in the method used by the federal government to determine the CPI or the items used to calculate the CPI, then the CPi shall be converted to the figure that would have been calculated at (or as close to such figure as shall be practical) had the mahner of calculating the CPI in effect at the date of this Lease not been altered. S:/CONTRACT/TUSTIN OM Page 2 of 8 6/17198 GA 1121-120 John Wayne Airport (FAA Outer Marker) 1 In the event that the CPI is not issued or published for the period for which such minimum 2 annual rent is to be adjusted and computed hereunder, or in the event that the Bureau of Labor Statistics of the United States Department of Labor should cease to publish said index figures, 3 then any similar index published by any other branch or department of the United States Government shall be used and if none is so published, then another index generally 4 recognized as authoritative shall be substituted by LESSOR. 5 8. RELOCATION OF PREMISES (N) 6 7 8 9 10 11 12 13 14 15 16 LESSOR and TENANT acknowledge and agree that, in order for LESSOR to make repairs to LESSOR's prop'erty or equipment located on the Leased Premises, it may be necessary from time to time to relocate TENANT's equipment described in the clause in this Lease entitled (USE). Said relocation of equipment shall be to a site mutually agreed upon by LESSOR and TENANT and the Federal Aviation Administration. LESSOR and TENANT mutually agree as follows: A. The cost'of said rel;scation, if necessary, shall be the responsibility of TENANT. Bo if the relocation is permanent, TENANT shall prepare, at TENANT's sole expense, a legal survey of the new Leased Premises and Exhibits A and B shall be revised accordingly to describe the new Leased Premises. Co Rent for the new Leased Premises shall remain the same as the rent described in the clause in this Lease entitled (RENT). Do The Leased Premises shall be kept free from further development as provided in the clause in this Lease entitled "RESTRICTIONS". Bo TENANT shall relocate its equipment within ninety (90) calendar days of receipt of notice from LESSOR. 17 18 19 2O 21 22 23 24 25 26 27 28 Fo The terms and conditions of this Lease shall remain in full force and effect following any relocation. 9. 'LESSOR'S ENTRY ON PREMISES (N) LESSOR and its authorized representatives shall have the right to enter the Leased Premises at reasonable times to do any necessary maintenance and restoration to the reservoir located on LESSOR'S property. LESSOR shall not be liable in any manner for any inconvenience, disturbance, loss of business, nuisance, or other damage arising out of LESSOR'S entry on the Leased Premises as provided in this clause, except damage resulting from the negligent acts or omissions of LESSOR or its authorized representatives. TENANT shall be entitled to an appropriate rent reduction or abatement if the activities of LESSOR under this clause unreasonably interfere with the possession or use of the Leased Premises by TENANT. TENANT shall not be entitled to a rent reduction or abatement due to Ocation as described in Clause 8. LESSOR shall conduct its activities on the Leased Premises as allowed in this clause in a manner that will cause the least possible inconvenience, annoyance or disturbance to TENANT. LESSOR shall, when made aware that the Leased Premises are in danger of S:/CONTRACTfT'USTIN OM Page 3 of 8 6/17/99 4 5 6 7 8 9 10 11 12 1.3 GA 1121-120 John Wayne Airport (FAA Outer Marker) damage or destruction by reason of fire, flood, vandalism or other cause, notify TENANT immediately by the most expeditious means of communication. 10. RESTRICTIONS (N) The Leased Premises depicted on the attached Exhibit C entitled "Instrument Landing System - Marker Antenna - Restricted Area" shall be kept free from further development of all buildings, power lines, fences, light standards, trees, shrubs, etc., which would derogate the radiation pattern of the marker antennas. Any upward extension of such existing items within this area shall not protrude above the inverted conical plane entitled "Restricted Surface". growth items such as trees, shrubs, etc., shall be cut back and/or otherwise contained below the "Restricted Surface"~ These conditions shall apply unless permitted otherwise by TENANT. i 11. TAXES AND ASSESSMENTS (MG10-1S) o. This Lease may create a possessory interest which is subject to the payment of taxes levied on such interest. It is understood and agreed that all taxes and assessments (including but no1 ii to said possessory interest tax) which become due and payable upon the Leased Premises or upon fixtures, equipment, or other property installed or constructed thereon, shall be the full responsibility of TENANT, and TENANT shall cause said taxes and assessments to be paid promptly. 12. LIABILITY (N) 14 LESSOR and TENANT each agree to assume sole responsibility to defend against any and all 15 claims for injuries to persons or damage to property which may arise, in whole or in part, from the imposition of legal liability for the acts, omissions and conduct of LESSOR on the one 16 or TENANT on the other, and sPecifically agree that neither the LESSOR or TENANT shall be obligated to defend or indemnify the other for claims which create potential legal liability ' ' 17 out of the acts, omissions, or conduct of the other party to this Lease. 18 19 20 21 22 23 24 25 26 13. PERMITS AND LICENSES (MG3-1S) TENANT shall be required to obtain any and all approvals, permits and/or licenses which may be required in connection with the operation of the Leased Premises as set out herein. No permit approval or consent given hereunder by LESSOR in its governmental capacity shall affect or limit TENANT's obligations hereunder, nor shall any approvals or consents given by LESSOR as a party to this Lease, be deemed approval as to compliance or conformance with applicable governmental codes, laws, ordinances, rules, or regulatioos. 14. TERMINATION OF LEASE (N) TENANT'S Airport Director or LESSOR shall have the option to terminate this Lease at any time after the expiration of the first year of the Lease term by providing LESSOR or TENANT, as applicable, written notice at least ninety (90) days prior thereto. If this clause is exercised, TENANT'S advance annual rent and automatic annual adjustment per. Clause 7 (REVISION OF RENT) shall be prorated to the date of termination. LESSOR shall immediately repay to TENANT all rent and adjustment prepaid and unearned. 27 28 S:/CONTRACT/TUSTIN OM Page 4 of 8 6117!9~, 4 5 6 7 8 9 10 11 12 13 14 15 16 GA 1121-120 John Wayne Airport (FAA Outer Marker) 15. HOLDING OVER (MG17-1S) in the event TENANT shall continue in possession of the Leased Premises after the term of this Lease, such possession shall not be considered a renewal of this Lease but a tenancy from month to month and shall be governed by the conditions and covenants contained in this Lease. 16. DEFAULTS AND REMEDIES (N) in the event of any breach of this Lease by TENANT, LESSOR shall notify TENANT in writing of such breach, and TENANT Shall have sixty (60) days in which to cure said breach. 1 17. OWNERSHIP OF IMPROVEMENTS (MD6-1N) · .. All buildings, improvements, and facilities constructed or placed within the Leased Premises bl TENANT shall be the property of TENANT at the expiration of this Lease or upon earlier termination hereof. TENANT shall remove all improvements located on the Leased Premises at the expiration or termination hereof. 18. UTILITIES (ME3-1S) TENANT shall be responsible for and pay, prior to the delinquency date, ali charges for utilities supplied to the Leased Premises. 19. LEASE ORGANIZATION (MG5-1S) The various headings and numbers herein, the grouping of provisions of this Lease into separate clauses and paragraphs, and the organization hereof, are for.the purpose of convenience only and shall not be considered otherwise. 17 20. AMENDMENTS (MG6-1S) 18 This Lease sets forth all of the agreements and understandings of the parties with regard to its subject matter and any modification must be written and properly executed by both parties. 19 20 21 22 21. INSPECTION (MG8-1S) LESSOR or its authorized representative shall have the right at all reasonable times to inspect the Leased Premises to determine if the provisions of this Lease ar~ being complied with. 22. SUCCESSORS IN INTEREST (MG11-1S) 23 Unless otherwise provided in this Lease, the terms, covenants, and conditions contained herein shall apply to and bind the heirs, successors, executors, administrators, and assigns of 24 all the parties hereto, all of whom shall be jointly and severally liable hereunder. 25 23. CIRCUMSTANCES WHICH EXCUSE PERFORMANCE (MG12-1N) 26 if either party hereto shall be delayed or prevented from the performance of any act required hereunder by reason of acts of God, performance of such act shall be excused for the period 27 of the delay; and the period for the performance of any such act shall be extended for a period equivalent to the period of such delay. Financial inability shall.not be considered a 28 circumstance excusing performance under this Lease. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 2O '21 22 23 24 25 26 27 28 GA 1121-120 John. Wayne Airport (FAA Outer Marker) 24. PARTIAL INVALIDITY (MG13-1S) If any term, covenant, condition, or provision of this Lease is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions hereof shall remain in full force and effect and shall in no way be affected, impaired, or invalidated thereby. 25. DAMAGE TO OR DESTRUCTION OF IMPROVEMENTS (ME4-2N) In the event of: A. Partial destruction of or damage to the Leased Premises, other than due to TENANT's act, use or occ~upation, except as otherwise provided herein; or B. The Leased Premises being declared unsafe or unfit for occupancy by any public authority authorized to make such declaration, for any reason other than TENANT's act, use or occupation, excep.'t as otherwise provided herein; LESSOR shall immediately make repairs as are necessary to restore the Leased Premises to the condition which existed prior to destruction or damage and/or make repairs as are necessary to make the Leased Premises safe and fit for occupancy. The destruction (including any destruction necessary to make repairs required by any declaration), damage or declaration shall in no way render this Lease null and void; TENANT shall, however, be entitled to a reduction of rent during any period its use and occupancy of the Leased Premises is adversely affected by reason of destruction, damage, declaration, and/or subsequent repair required thereby. Such reduction shall be in proportion to the interference with TENANT's ordinary use of the Leased Premises. If LESSOR refuses to make such repairs or if such repairs are not completed by LESSOR within sixty (60) days, TENANT may, at its option, terminate the Lease or make such repairs and deduct TENANT's direct and indirect costs thereof from rent owing LESSOR. 26. WAIVER OF RIGHTS (MG14-1N) The failure of LESSOR or TENANT to insist uPon strict performance of any of the terms, covenants, or conditions of this Lease shall not be deemed a waiver of any right or remedy thal LESSOR or TENANT may have, and shall not be deemed a waiver of the right to require strict performance of all the terms, covenants, and conditions of the Lease thereafter, nor a waiver of any remedy for the subsequent breach or default of any term, covenant, or condition of this Lease. 27. NOTICES (MF20-1S) All notices pursuant to this Lease shall be addressed to either party as set forth below and shall be sent through the United States Mail, in the State of California, duly registered or certified, return receipt requested with postage prepaid. If any notice is sent by registered or certified mail, as aforesaid, the same shall be deemed to..ba~__been served or delivered twenty-four (24) hours after mailing thereof as above provided. Notwithstanding the above LESSOR may also provide notices to TENANT by personal delivery or by regular mail postage prepaid and any such notice so given shall be deemed to have been given upon the date of personal delivery or the date of deposit i.n the United States Mail, respectively. TO: LESSOR TENANT City of Tustin 300 Centennial Way Tustin, CA 92780 John Wayne Airport 3160 Airway Avenue Costa Mesa, CA 92626 ~'/(':.(h NTR A C;.T/TU STI N OM Pac~e 6 of 8 6II 7."9 S GA 1121-120 John Wayne Airport (FAA Outer Marker) 10 Either party hereto may from time to time, by written notice to the other, designate a different address which shall be substituted for the one above specified. 3 28. ATTACHMENTS TO LEASE (MF21-1N) 4 This Lease includes the following, which are attached hereto and made a part hereof: 5 !. EXHIBITS EXHIBIT A- LEASED PREMISES DESCRIPTION EXHIBIT B ° MAP SHOWING LEASED PREMISES EXHIBIT C - ~ESTRICTIONS- "INSTRUMENT LANDING SYSTEM- C MARKER ANTENNA- RESTRICTED AREA" · 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 26 27 28 S:/CONTRACT/TUSTIN OM Page 7 of 8 6/17/95 GA 1121-120 John Wayne Airport (FAA Outer Marker) IN WITNESS WHEREOF, the parties have executed this Lease the day and year first above written. . LESSOR City of Tustin 6 APPROVED AS TO FORM: County Counsel 7 8[~~' '~¢~1~''~!~//'9 10 11 '12 13 14 15 RECOMMENDED FOR APPROVAL: John Wayne Airport By (~.B. SCHOOLI~Y Airport Director 17 By ~,~f~l Prope~gent 18 By Title By Title 19 2O 21 22 23 SIGNED AND CERTIFIED THAT A COPY OF THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD. TENANT COUNTY OF ORANGE 24 25 26 27 DARLENE J. BLOOM Clerk of the Board of Supervisors of Orange County, California By Chairman, Board of Supervisors 28 LEASE DESCRIPTION PARCEL PM 1121-120 All the demised premises shown crosshatched on a plot plan marked Exhibit "B", attached hereto and made a part hereof, being that certain 20 feet by 20 feet parcel of land, in the County of Orange, State of California, located on the existing Tustin Water Works Underground Reservoir on a portion of the Northerly 150 feet of the Westerly 8 acres of Lot 36 of El Modena.Citrus Land. as shown on a map recorded in Book 6, page 1 32 of Miscellaneous Maps, records of Orange County, California. i DESCRIPTION APPROVED: · Date: S~CONTRACTIPM1 !21.120-1 LEASE DESCRIPTION EXHIBIT A .o · · . la{J L_F_~.SELD I I I , :_.~!ST I ~G WAU._ U /,I D SR G ~ OU N D '1 55' L I0' EX~STih~ WA, LL ORANGE COUNTY 5URVEYO PLA iV VIEW' z"-c.o' ~ ...... ! CO w6R A N'i--c;VNA EI.~-~5~IT ...... . VA 'ION t:ANOING ~6$TI~I~TE, D / '"t UNO t~'V~ I ........... ../.'.. ......... ~ .